Refund Scheme Detection Methods
Question
When employees avoid detection in a refund scheme to keep the sizes of the disbursement low, is referred to:
Answers
Explanations
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A. B. C. D.A
The answer to this question is A. Small disbursements.
A refund scheme is a type of fraud in which an individual falsely claims a refund from an organization. In order to avoid detection, some employees may try to keep the size of the disbursements low. They may do this by making many small disbursements rather than a few large ones.
By keeping the disbursements small, the employees hope to avoid detection by making the fraud less noticeable. For example, if an employee were to claim a single refund of $10,000, it might attract attention and prompt an investigation. However, if the employee were to make 100 refunds of $100 each, it might not be as obvious, and could potentially go undetected.
These small disbursements can add up over time, resulting in significant losses for the organization. Therefore, it is important for fraud examiners to be aware of this tactic and to investigate any suspicious activity, regardless of the size of the disbursements involved.
In conclusion, the term used to describe the situation when employees avoid detection in a refund scheme to keep the sizes of the disbursement low is referred to as "Small disbursements."
